Income Taxes (Tables)

12 Months Ended

Dec. 31, 2025

Income Taxes [Line Items]

Components of Income Tax Provision

The significant components of the income tax provision were (in millions):

	Year Ended December 31,
	2025		2024		2023
Deferred income tax provision:
Federal	$	72	$	285	$	268
State and local	7		23		31
Deferred income tax provision	79		308		299
Total income tax provision	$	79	$	308	$	299

Reconciliation of Income Tax Provision

The income tax provision differed from amounts computed at the U.S. federal statutory income tax rate as follows (amounts in millions):

	Year Ended December 31,
	2025				2024				2023
	Amount		Rate		Amount		Rate		Amount		Rate
U.S. federal statutory income tax rate	$	40	21.0	%	$	242	21.0	%	$	236	21.0	%
Domestic federal:
Nontaxable or nondeductible items
Nondeductible meals and other nondeductible employee benefits	28		15.3	%	22		1.9	%	22		2.0	%
Nondeductible officer compensation	10		5.2	%	12		1.1	%	11		1.0	%
Other nontaxable and nondeductible items	—		—	%	11		0.9	%	9		0.8	%
Other	(6)		(3.3)	%	—		—	%	—		—	%
Domestic state and local income taxes, net of federal effect	7		3.0	%	21		1.8	%	21		1.9	%
Effective tax rate	$	79	41.2	%	$	308	26.7	%	$	299	26.7	%

Deferred Tax Assets and Liabilities

The components of our deferred tax assets and liabilities were (in millions):

	December 31,
	2025		2024
Deferred tax assets:
Net operating loss and other carryforwards	$	4,095	$	4,292
Loyalty program liability	1,949		1,799
Leases	1,566		1,596
Pension benefits	109		234
Postretirement benefits other than pension benefits	260		270
Rent expense	37		60
Other	676		775
Total deferred tax assets	8,692		9,026
Valuation allowance	(22)		(22)
Net deferred tax assets	8,670		9,004
Deferred tax liabilities:
Accelerated depreciation and amortization	(4,543)		(4,620)
Leases	(1,594)		(1,656)
Other	(174)		(252)
Total deferred tax liabilities	(6,311)		(6,528)
Net deferred tax asset	$	2,359	$	2,476

American Airlines, Inc.

Income Taxes [Line Items]

Components of Income Tax Provision

The significant components of the income tax provision were (in millions):

	Year Ended December 31,
	2025		2024		2023
Deferred income tax provision:
Federal	$	183	$	391	$	361
State and local	14		35		33
Deferred income tax provision	197		426		394
Total income tax provision	$	197	$	426	$	394

Reconciliation of Income Tax Provision

The income tax provision differed from amounts computed at the U.S. federal statutory income tax rate as follows (amounts in millions):

	Year Ended December 31,
	2025				2024				2023
	Amount		Rate		Amount		Rate		Amount		Rate
U.S. federal statutory income tax rate	$	160	21.0	%	$	355	21.0	%	$	332	21.0	%
Domestic federal:
Nontaxable or nondeductible items
Nondeductible meals and other nondeductible employee benefits	23		3.0	%	18		1.1	%	19		1.2	%
Nondeductible officer compensation	10		1.3	%	12		0.7	%	11		0.6	%
Other nontaxable and nondeductible items	(4)		(0.4)	%	12		0.7	%	4		0.3	%
Other	(6)		(0.8)	%	—		—	%	—		—	%
Domestic state and local income taxes, net of federal effect	14		1.8	%	29		1.7	%	28		1.8	%
Effective tax rate	$	197	25.9	%	$	426	25.2	%	$	394	24.9	%

Deferred Tax Assets and Liabilities

The components of American’s deferred tax assets and liabilities were (in millions):

	December 31,
	2025		2024
Deferred tax assets:
Net operating loss and other carryforwards	$	3,566	$	3,891
Loyalty program liability	1,949		1,799
Leases	1,553		1,582
Pension benefits	104		228
Postretirement benefits other than pension benefits	260		270
Rent expense	37		59
Other	633		726
Total deferred tax assets	8,102		8,555
Valuation allowance	(12)		(12)
Net deferred tax assets	8,090		8,543
Deferred tax liabilities:
Accelerated depreciation and amortization	(4,520)		(4,599)
Leases	(1,582)		(1,642)
Other	(165)		(244)
Total deferred tax liabilities	(6,267)		(6,485)
Net deferred tax asset	$	1,823	$	2,058